Executive talent readiness is coming to the forefront of business issues as the global economic climate begins to thaw. While no one is popping champagne corks yet, business leaders around the world are anticipating an improved economy. The sixth annual NYSE Euronext CEO Report, issued in mid-2010, found that 80 percent of CEOs expect improvement in growth for their companies through 2011.
Companies understand that executive turnover is costly and, more important, know the value of a robust succession talent pipeline. Pre-hiring assessment improves the executive talent pipeline reveals that pre-hiring assessment appears to help on both fronts. It first predicts whether a candidate is the right person for the job, and then also indicates a candidate’s promotion potential.
To identify the recruitment screening methods that would best serve clients’ succession planning efforts, Korn/Ferry International studied the long-term results of various hiring methods. The findings indicate that pre-hiring assessment that includes comparison with validated benchmarks improves executives’ retention — and prospects of promotion.